The Possibility That the Failure of One Bank Can Hasten

question 23

Multiple Choice

The possibility that the failure of one bank can hasten the failure of other banks is called the

• A) bank run effect.
• B) moral hazard effect.
• C) contagion effect.
• D) adverse selection effect.

---

Definitions:

Acronym

A word formed from the initial letters or groups of letters of words in a set phrase or series of words, usually pronounced as a separate word.

Isolated

Being separated from others; not connected or associated with anything else.

Social Media

Platforms and websites that enable users to create and share content or participate in social networking, playing significant roles in communication, marketing, and societal trends.

Marketing Content

The creation and sharing of media and publishing content in order to acquire and engage customers, often through articles, videos, and social media posts.